Bill C-32

Fall Economic Statement Implementation Act, 2022

An Act to implement certain provisions of the fall economic statement tabled in Parliament on November 3, 2022 and certain provisions of the budget tabled in Parliament on April 7, 2022

Part 1 implements certain measures in respect of the Income Tax Act by
(a) providing that any gain on the disposition of a Canadian housing unit within a one-year period of its acquisition is treated as business income;
(b) introducing a Tax-Free First Home Savings Account;
(c) phasing out flow-through shares for oil, gas and coal activities;
(d) introducing a new 30% Critical Mineral Exploration Tax Credit for specified mineral exploration expenses incurred in Canada and renounced to flow-through share investors;
(e) introducing the Canada Recovery Dividend under which banks and life insurers’ groups pay a temporary one-time 15% tax on taxable income above $1 billion over five years;
(f) increasing the corporate income tax rate of banks and life insurers’ groups by 1.5% on taxable income above $100 million;
(g) providing additional reporting requirements for trusts;
(h) providing rules applicable to mutual fund trusts listed on a designated stock exchange in Canada with respect to amounts that are allocated to redeeming unitholders;
(i) providing the Minister of National Revenue with the discretion to decline to issue a certificate under section 116 of the Income Tax Act in certain circumstances relating to the administration and enforcement of the Underused Housing Tax Act ;
(j) doubling the First-Time Homebuyers’ Tax Credit;
(k) expanding the eligibility criteria for the Medical Expense Tax Credit in respect of medical expenses incurred in Canada related to surrogate mothers and donors and fees paid in Canada to fertility clinics and donor banks;
(l) introducing the Multigenerational Home Renovation Tax Credit;
(m) allowing access to the small business tax rate on a phased-out basis up to taxable capital of $50 million;
(n) modifying the computation of income as a result of the adoption of a new international accounting standard for insurance contracts;
(o) introducing a new graduated disbursement quota rate for charities;
(p) providing that the general anti-avoidance rules can apply to transactions that affect tax attributes that have not yet been used to reduce taxes;
(q) strengthening the rules on avoidance of tax debts;
(r) modifying the calculation of the taxes applicable to registered investments that hold property that is not a qualified investment;
(s) modifying the tax treatment of certain interest coupon stripping arrangements that might otherwise be used to avoid tax on cross-border interest payments;
(t) clarifying the applicable rules with respect to audits by Canada Revenue Agency officials, including requiring taxpayers to give reasonable assistance and to answer all proper questions for tax purposes; and
(u) extending the capital cost allowance for clean energy and the tax rate reduction for zero-emission technology manufacturers to include air-source heat pumps.
It also makes related and consequential amendments to the Canada Deposit Insurance Corporation Act , the Excise Tax Act , the Air Travellers Security Charge Act , the Excise Act, 2001 , Part 1 of the Greenhouse Gas Pollution Pricing Act and the Income Tax Regulations .
Part 2 amends the Excise Act, 2001 and other related texts in order to implement changes to
(a) the federal excise duty frameworks for cannabis and other products by, among other things,
(i) permitting excise duty remittances for certain cannabis licensees to be made on a quarterly rather than a monthly basis, starting from the quarter that began on April 1, 2022, and
(ii) allowing the transfer of packaged, but unstamped, cannabis products between licensed cannabis producers; and
(b) the federal excise duty framework for vaping products in relation to the markings, customs storage and excise duty liability of these products.
Part 3 amends the Underused Housing Tax Act to make amendments of a technical or housekeeping nature. It also makes regulations under that Act in order to, among other things, implement an exemption for certain vacation properties.
Division 1 of Part 4 authorizes the Minister of Finance to acquire and hold on behalf of His Majesty in right of Canada non-voting shares of a wholly-owned subsidiary of the Canada Development Investment Corporation that is responsible for administering the Canada Growth Fund and to requisition the amounts for the acquisition of those shares out of the Consolidated Revenue Fund.
Division 2 of Part 4 amends the Bretton Woods and Related Agreements Act to increase the maximum financial assistance that may be provided in respect of foreign states.
Subdivision A of Division 3 of Part 4 enacts the Framework Agreement on First Nation Land Management Act .
Subdivision B of Division 3 of Part 4 contains transitional provisions in respect of the enactment of the Framework Agreement on First Nation Land Management Act and makes consequential amendments to other Acts. It also repeals the First Nations Land Management Act .
Division 4 of Part 4 amends the Government Employees Compensation Act in order to fulfil Canada’s obligations under the Memorandum of Understanding between the Government of Canada and the Government of the United States of America concerning Cooperation on the Civil Lunar Gateway.
Division 5 of Part 4 amends the Canada Student Loans Act to eliminate the accrual of interest on guaranteed student loans beginning on April 1, 2023.
It also amends the Canada Student Financial Assistance Act to eliminate the accrual of interest on student loans beginning on April 1, 2023.
Finally, it amends the Apprentice Loans Act to eliminate the accrual of interest on apprentice loans beginning on April 1, 2023 and to clarify when the repayment of apprentice loans begins during the interest suspension period from April 1, 2021 to March 31, 2023.

Enhancing Transparency and Accountability in the Transportation System Act

[Gabriel Ste-Marie, Bloc, Joliette, QC]

Madam Speaker, we all remember the sad incidents at airports in the summer of 2022. People were sleeping on the floor. They were not given food or a place to sleep. They were not getting any answers. We also remember the big snowstorm during last year's holiday season, and especially everything that followed.

Does my colleague think that the contents of Bill C-32 and the other bills passed so far are enough to ensure that these kinds of situations do not happen again?

[Gabriel Ste-Marie, Bloc, Joliette, QC]

Mr. Speaker, it is with great enthusiasm that I rise today to speak to Bill C‑52.

From the outset I want to say that the Bloc Québécois will support this bill to have the chance to study it closer in committee and improve it.

We know that the bill is trying to resolve various problems that have arisen at our airports since air traffic has resumed. Obviously that is a good thing, because there has been no shortage of problems at our airports since the end of COVID-19.

This leads me to the first point of my speech, about airport and airline service standards. I believe that the intention here is good. We all remember, for those who managed to get a federal passport to travel, what a mess there was at Canada's airports in the summer of 2022.

As members will recall, the government refused to propose a plan to lift the health measures. Why? Rather than provide predictability to our citizens, our industries and our businesses, the government chose to contribute to polarizing this issue, like the Conservative Party. Each side did that in its own way.

Consequently, when the government lifted the public health restrictions for travelling abroad, people rushed to our airports. That resulted in all the chaos we witnessed, when hundreds of flights were delayed or cancelled and passengers were stuck sleeping on the floor at airports. There were also extremely long wait times at customs, which, incidentally, is a federal responsibility. That is also not to mention the horrendous lineups for boarding.

The Bloc Québécois's intuition before those problems occurred was right. We warned the government that its passenger bill of rights was by no means a panacea, and sadly, the unfortunate things that happened proved that to be true.

It became very clear that certain airlines preferred to make more money by overbooking their flights. They knew that they would be unable to keep their commitments. However, they also knew that it would not be too much of a problem because the complaints would not go anywhere, given the interminable delays at the Canadian Transportation Agency. Because there is no serious punitive mechanism for these airlines, some of them chose to act unscrupulously, and that is shameful.

The second key moment in this saga happened last winter. Members may recall that a snowstorm left many flights grounded. We agree that no one can be blamed for a snowstorm, not even the Minister of Environment and Climate Change. We are not holding the government responsible for rain or good weather—especially not good weather, of course. The fact remains, however, that although events beyond our control can affect air transportation services, airlines have a responsibility to their customers that they cannot shirk. They have to provide food to people left waiting for hours, or even hotel rooms and return flights if their customers are stuck in Mexico, for example. Unfortunately, some airlines failed to live up to their responsibilities that time, too.

Further to that point, I want to talk about Cirium and FlightAware, the firms that compiled data for La Presse. They determined that there were more than 2,400 delays and cancellations during the holiday season last year, that is, between December 19, 2022, and January 4, 2023. Their figures show that over 55% of Air Canada's 1,000 flights were delayed. For Sunwing, the figure was two-thirds. Every airline had issues. It was during this period that Sunwing suspended several return flights from Mexico, stranding travellers there for days. People criticized the company's incompetence, and Sunwing was forced to apologize to its customers.

We talk a lot about airlines, but we cannot forget about Via Rail. This rail company was also singled out for blame. Passengers were trapped on board a train for hours. In one case, it was an entire day. That is unacceptable.

Following this second unacceptable event, the Standing Committee on Transport, Infrastructure and Communities took up the issue. My esteemed colleague from Pierre-Boucher—Les Patriotes—Verchères, whom I commend, proposed several improvements to the passenger bill of rights.

These improvement include the following: shifting the burden of proof to the airlines; changing the grounds on which a carrier is not required to provide compensation; improving the complaints process to reduce delays, finally; making the Canadian Transportation Agency's decisions public to establish a type of jurisprudence, so that anyone forced to go to court several years after the incident will know exactly what the agency is basing its arguments on; and increasing fines for airlines.

These proposals were included in the government's Bill C‑32. Just one thing was left out, namely the need to ensure that airlines treat people with respect and dignity. I believe that is the objective of the service standards, that is, to ensure that airlines treat people like people, for example, and as I said earlier, by providing them with food when the plane is grounded for several hours, as well as a hotel room instead of the floor to sleep. This is a step in the right direction, and we welcome it.

The only concern that I have about this measure is that it does not force the government to set standards for the services it offers itself. We know that some airport delays are caused by the federal government. I spoke about it a few moments ago. The endless wait times at customs and security because Ottawa is not providing sufficient funding are not the responsibility of airlines or airport authorities. The federal government needs to lead by example and set service standards for itself. That is what we are asking it to do today. Once again, what we are seeing in this bill is that the government is setting standards for airports and airlines. That is good, but the government, the royalty that does not negotiate with its subjects, remains above all that, and the problem remains unsolved. The government should have implemented such measures here at the same time in order to set the example.

My second point about this bill has to do with something entirely different and that is the management of airport noise out of respect for the neighbouring community. The bill forces airport operators to establish a noise management committee, which will be responsible for dealing with complaints from the public and giving notice to the public with respect to noise alterations. The committee is made up of one representative from the airport operator, one representative from Nav Canada, one representative from the municipal or local government and one air carrier representative. Under the bill, the committee will meet at least four times a year and allow public participation.

In practical terms, it is hard to say whether the committee will really improve neighbourliness between airports and residents, but it is safe to say that having this committee will facilitate both the process and communication on this issue. As we know, there are numerous problems that arise between airports and neighbouring residents, and they are often brought to the attention of the MPs who represent these citizens. As I was saying, the committee will not solve everything, but it can facilitate communication. That is why we welcome this party's intention. However, we are aware that this remains a serious and deep-rooted problem. Citizens are reaching out to us, especially to our colleagues who represent ridings with airports near densely populated areas. People are saying they cannot stand hearing airplane noise all day long. We need to continue to do more, but this is a good first step.

Another aspect that we welcome is the establishment of greenhouse gas reduction targets for airports and ports. They will not be exempt.

As members know, the bill requires municipalities to develop and adopt a five-year plan on climate change adaptation measures. We are talking about the current and anticipated impacts of climate change on airport operations for airport authorities and reducing greenhouse gas emissions. Specifically, this is about targets and adaptation in relation to the previous plan. Governments will also have to publish their plans.

This part of the bill aims to force port and airport authorities to come up with a plan to reduce emissions and adapt to climate change. Given the importance of this infrastructure, we welcome the proposal in this area, as well.

However, we did find some problems in several areas of this bill and in many other bills introduced by the government. What is the problem?

Airport obligations are determined by regulations. In other words, they will be determined by the government, who will not have to be accountable to the House, to us legislators. Today, as we debate Bill C‑52, it is impossible for us to determine the effort that will be required from airport authorities. In other words, Bill C‑52 gives the government the power to say that it will impose rules later, that it will determine them alone and it will not be accountable to anyone.

This can likely be explained by haste. They probably want to go too fast and for us not to take the time to do things properly. I will come back to that a bit later in my speech.

This looks good on paper, but since the devil is in the details and those will not be decided until later by regulation, we will remain skeptical about the scope of this measure. As I was saying, this is not the first time the government announces good intentions on the environment, when we know its true nature, namely to continue giving subsidies to the oil companies, authorize Bay du Nord, fund at great cost the expansion of Trans Mountain, and so on. We are not fools.

Let us come back to Bill C‑52. Another part of the bill deals with the collection of information and the handling of complaints regarding airport accessibility for people with disabilities. That is obviously very important. Here again, the intention is highly commendable and it is consistent with the objective of the Accessible Canada Act, which is to eliminate barriers for people with disabilities by 2040. We all saw stories in the news about people with disabilities who were unable to receive the services and support they needed. What is more, quite often, they were not treated with the respect that every person deserves. Every incident like that is one too many and unacceptable. It is imperative that things change, that action is taken. Let us hope that Bill C‑52 helps to improve the situation and that such incidents never happen again.

As I was saying, the problem is that the bill does not indicate what the government intends to do to improve the situation. However, it does indicate that the government will be able to create regulations in that regard. The bill targets a problem that must be resolved to comply with other laws, but it gives the government power to adopt regulations and does not make the government accountable to the House, which is unacceptable.

Again, I will offer some criticism about this approach. Passing legislation that only allows the minister to make the rules bypasses the spirit of the legislative role of Parliament. It does not allow us, the elected members, to properly defend the interests of the constituents we represent.

At some point I would like to officially make this request to the Chair, who is the defender of our rights and privileges in the House. I would like to know whether it is acceptable for the government to operate in this way this often, having everything go through regulations instead of through laws that can be studied thoroughly by us, the legislators. In my opinion, the government is assuming rights that are also those of the House by proceeding in this way. Obviously, when there is a majority vote then it is the House that it is giving these rights to the government. This raises a rather fundamental question. The government is proceeding in this way to go quickly and to hide what will be unpopular. That is an issue that deserves a lot of reflection.

In its current form, Bill C-52 creates a great deal of uncertainty for the industry, which is being told that the government has plans without being informed of how it intends to go about implementing them. Will the industry receive clear information on what will be implemented in the regulations? Will it be able to have a constructive and positive dialogue within the acceptable time frame allowed by the government? The industry has to rely on the government's good faith. This leads to a concentration of powers, which is worrisome, because when power is concentrated in the hands of the minister, this runs contrary to the spirit of the separation of powers necessary for a healthy democracy.

I really wanted to take a moment to point this out. I think it is necessary because we would prefer that the government do its job and legislate through laws rather than regulations. We believe it is necessary, even when one has very noble intentions such as making our airports more accessible and inclusive.

On this point, there is another part of this bill that I want to commend. The bill provides that airport authorities will henceforth be required to produce a report on diversity among their directors and members of senior management.

Once again, the details will be defined by regulation. Based on what Statistics Canada wrote in its report on diversity among directors and senior management, inequities persist among men, women and visible minorities. As we know, the last two groups are under-represented and there are still wage gaps, even when the main reasons for gaps, such as occupation, education, and the number of weeks or number of hours worked, are accounted for in the Statistics Canada study.

We have a duty to address these inequities and we will continue to do so. We applaud the fact that Bill C‑52 includes a part on this subject. However, it does not say what is actually going to be done. It announces an intention in that the matter will be defined by regulation, once again.

In conclusion, there are many, many elements of the bill that I would have liked to discuss, including criticisms about part 3 of the bill and the changes to port fees. Part 3 of the bill amends the Canada Marine Act and provisions regarding the fixing of port fees. A bunch of different taxes are mentioned, like tolls, dues and rates for things like harbour access, berthage and wharfage, not including payments made under a lease or licence agreement. There is a list of principles that port administrations have to observe when fixing fees. Part 3 of the bill also established a framework for complaints regarding these fees.

We have some concerns about these principles, which could benefit from discussions in committee, improvements or clarifications. Proposed paragraph (a), for instance, states that “the fees must be fixed in accordance with an explicit methodology—that includes any conditions affecting the fees—that the authority has established and published”. We wonder if this principle is really necessary and what the reasoning is. There is also paragraph (c), which states that “the fees must not be fixed at levels that, based on reasonable and prudent projections, would generate revenues exceeding the authority’s existing and future financial requirements”. Our concern with this principle is that the wording could hinder development and investments in port infrastructure.

The bill also enables the Canadian Transportation Agency to make regulations to establish fees to administer the provisions of the bill on fees. The bill does not specify who will be charged these fees because, once again, it will all be determined by regulation. That is how this party governs. It drafts a bill and asks us to vote in favour of it, but everything is determined by regulation so that the government is not accountable to the House. Is it because the members of this party are ill-intentioned and trying to pass things that we do not know about or is it because they are just incompetent? One has to wonder, but this way of doing things is shameful either way.

Obviously, in committee, we will ensure that the principles outlined in the bill do not undermine the competitiveness of Quebec and Canadian ports. We will also take the time to study these principles and their effects. For example, again in relation to this same part, we are not convinced that the complaints process is the best, and we are wondering about the reasoning behind the principles that will determine port fees. I am sure my colleagues will address those aspects in more detail in the speeches that follow.

I want to close by emphasizing that, as usual, the Bloc Québécois will take the time to study the bill in committee to improve it, with our main focus being that this future law must improve the day-to-day lives of Quebeckers. That is what we are always working to accomplish.

Sitting Resumed

[Claude DeBellefeuille, Bloc, Salaberry—Suroît, QC]

Madam Speaker, I am pleased to rise and speak this evening—although I must say the hour is late, almost 9 p.m.—to join the debate on Bill C-47.

Before I start, I would like to take a few minutes to voice my heartfelt support for residents of the north shore and Abitibi who have been fighting severe forest fires for several days now. This is a disastrous situation.

I know that the member for Manicouagan and the member for Abitibi—Baie-James—Nunavik—Eeyou are on site. They are there for their constituents and represent them well. They have been visiting emergency shelters and showing their solidarity by being actively involved with their constituents and the authorities. The teamwork has been outstanding. Our hearts go out to the people of the north shore and Abitibi.

Tonight, my colleague from Abitibi-Témiscamingue will rise to speak during the emergency debate on forest fires. He will then travel back home to be with his constituents as well, so he can offer them his full support and be there for them in these difficult times.

Of course, I also offer my condolences to the family grieving the loss of loved ones who drowned during a fishing accident in Portneuf-sur-Mer. This is yet another tragedy for north shore residents. My heart goes out to the family, the children's parents and those who perished.

Before talking specifically about Bill C-47, I would like to say how impressive the House's work record is. A small headline in the newspapers caught my eye last week. It said that the opposition was toxic and that nothing was getting done in the House. I found that amusing, because I was thinking that we have been working very hard and many government bills have been passed. I think it is worth listing them very quickly to demonstrate that, when it comes right down to it, if parliamentarians work together and respect all the legislative stages, they succeed in getting important bills passed.

I am only going to mention the government's bills. Since the 44th Parliament began, the two Houses have passed bills C-2, C-3, C-4, C-5, C-6, C-8 and C-10, as well as Bill C-11, the online streaming bill. My colleague from Drummond's work on this bill earned the government's praise. We worked hard to pass this bill, which is so important to Quebec and to our broadcasting artists and technicians.

We also passed bills C-12, C-14, C-15, C-16, C-19, C-24, C-25, C-28, C-30, C-31, C-32, C-36 and C-39, which is the important act on medical assistance in dying, and bills C-43, C-44 and C-46.

We are currently awaiting royal assent for Bill C-9. Bill C-22 will soon return to the House as well. This is an important bill on the disability benefit.

We are also examining Bill C-13, currently in the Senate and soon expected to return to the House. Bill C-18, on which my colleague from Drummond worked exceedingly hard, is also in the Senate. Lastly, I would mention bills C-21, C-29 and C-45.

I do not know whether my colleagues agree with me, but I think that Parliament has been busy and that the government has gotten many of its bills passed by the House of Commons. Before the Liberals say that the opposition is toxic, they should remember that many of those bills were passed by the majority of members in the House.

I wanted to point that out because I was rather insulted to be told that my behaviour, as a member of the opposition, was toxic and was preventing the work of the House from moving forward. In my opinion, that is completely false. We have the government's record when it comes to getting its bills passed. The government is doing quite well in that regard.

We have now come to Bill C-47. We began this huge debate on the budget implementation bill this morning and will continue to debate it until Wednesday. It is a very large, very long bill that sets out a lot of budgetary measures that will be implemented after the bill is passed.

I have no doubt that, by the end of the sitting on June 23, the House will pass Bill C-47 in time for the summer break.

What could this bill have included that is not in there? For three years, the Bloc Québécois and several other members in the House have been saying that there is nothing for seniors. I was saying earlier to my assistant that, in my riding of Salaberry—Suroît, we speak at every meeting about the decline in seniors' purchasing power. I am constantly being approached by seniors who tell me—

An Act for the Substantive Equality of Canada's Official Languages

[Darrell Samson, Liberal, Sackville—Preston—Chezzetcook, NS]

Mr. Speaker, I want to thank my colleague for the excellent work she does on veterans affairs.

I really want to answer this. Looking at B.C., I talked about how in the B.C. schools, they could not get any lands. In the bill, there are guarantees that they would be consulted, which is important.

If the member is asking why I am upset with the delay, I have to be very honest and say that today, where I stand, I am happy with the delay. I explained that Bill C-32 had strengths, but Bill C-13 has more strengths. Now, going to committee with the new amendments, it is even better. In 10 years, we will make it perfect, if it is not perfect today.

Opposition Motion—Carbon Tax

[Francesco Sorbara, Liberal, Vaughan—Woodbridge, ON]

Madam Speaker, I thank my colleague for his question this afternoon. As regards housing and the cost of living across the country, it is very important to bring in measures to help all Canadians.

On the housing front, with the measures put in place by the fall economic statement, some of which will flow through Bill C-32 and the upcoming housing accelerator fund, we will work with all levels of government to ensure that the housing supply is boosted for Canadian families, for first-time buyers and for Canadians from coast to coast to coast.

[Francesco Sorbara, Liberal, Vaughan—Woodbridge, ON]

Mr. Speaker, it is great to recommence speaking to such an important topic, but also on our government's record of assisting Canadians at this period of time.

Our government is well aware that many Canadians are struggling to put food on the table during this period of high inflation. We go to the grocery store and cannot help but feel discouraged to see the price of the food we eat every day continue to rise. Milk, meat, bread, fruit and vegetables all cost more now. Many families across the country are struggling to make ends meet these days because of inflation.

However, it is important to remember that inflation is a global phenomenon, and food inflation is no exception. It is the result of the COVID-19 pandemic, and has been exacerbated by Vladimir Putin's illegal and barbaric war in Ukraine. To make things worse, snarled supply chains are affecting people and businesses around the world.

However, there is some room for hope in Canada. While inflation was 8.1% in June, it is now down to 6.9%, lower than what we see in many peer economies. For example, in the United States, it is at 7.7%. The EU is in double digits at 10%, and in the United Kingdom is 11.1 %. Still, inflation at 6.9% in Canada is too high.

I do personally, as an economist, forecast inflation going down in the quarters ahead, which will bring much needed relief to Canadian families.

On the bright side of things, as we are all bracing for a global economic slowdown, I believe there is no country better placed than Canada to weather the coming global economic slowdown and thrive in the years ahead. Indeed, Canada has an unemployment rate near its record low, as more than 500,000 more Canadians are working today than at the beginning the pandemic. We also have the strongest economic growth in the G7 so far this year and the lowest net debt and deficit-to-GDP ratios in the G7. On top of that, our country maintains its AAA credit rating from all three rating agencies.

However, we understand that a large number of Canadians will continue to struggle. The next few months will be difficult for our friends, families and neighbours because of inflation.

Many Canadians need help to get through the crisis, and our government is there for them. For example, with our affordability plan, we are putting forward a suite of measures totalling $12.1 billion to help Canadians make ends meet and provide for their families.

It is important to note that the measures we are putting forward are not pouring unnecessary fuel on the inflation fire. They only provide targeted, fiscally responsible help to those who need it most.

I would like to remind my colleagues what our affordability plan has to offer. It would enhance the Canada workers benefit and put up to $2,400 more in the pockets of modest-income families. That would assist nearly three million Canadian workers on a yearly basis.

We will cut regulated child care fees by an average of 50% by the end of this year. As I noted in the first two minutes of my speech prior to question period, my family received news that, for little Leia, who is in day care now, the fees have been reduced by 25% and a further 25% will occur by the end of the year. That is great news for not only my family, and we are quite blessed, but also for families who need that assistance and help.

There is a 10% increase in old age security, which we had put in prior to the increase in global inflation. This will be $800 more for over three million seniors aged 75 and up who need it the most.

Regarding dental care, over 35,000 Canadians have signed up for their children under 12. These Canadians have incomes under $90,000 a year and do not have private insurance.

We will make a $500 payment to 1.8 million low-income renters who are struggling with the cost of housing.

There is the doubling of the GST credit for six months, which is providing additional relief to 11 million individuals and families.

Everything is indexed to inflation. As I mentioned earlier this week, when speaking to Bill C-32, then finance minister Paul Martin introduced the indexation of all benefits of all marginal income tax rates to avoid what is called “tax creep” due to inflation. It was very important. It was one of the largest tax cuts ever introduced in Canadian history and provided a boost to incomes. It is great to see that continue.

When we think about the increase in the cost of living, it is due to the cost of groceries, of course, but it is also due to the cost of housing. Our government believes that everyone should have a safe and affordable place to call home. That goal was taken as a given for previous generations, but it is increasingly out of reach for far too many Canadians. Rents continue to climb across the country, pushing people further and further away from where they work.

With Bill C-31, we move forward with a one-time top-up to the Canada housing program. This will provide a tax-free payment of $500 to low-income renters, and 1.8 million Canadians will receive this. This payment will provide direct assistance to those who are most vulnerable to inflation and those experiencing housing difficulties.

These 1.8 million low-income renters include students who are struggling to pay for housing, and they will be eligible for this new assistance. This one-time top-up is part of a broader set of initiatives introduced in budget 2022. It will invest more than $9 billion to help make housing more affordable, including by alleviating the supply shortage, which is one of the main causes of the high cost of housing, particularly in the GTA.

In addition, with Bill C‑32, our government is moving forward with its ambitious package of measures to build more homes and make housing more affordable across the country.

In order to help Canadians afford a down payment faster, Bill C-32 proposes to move forward with a new tax-free home savings account. This account would allow prospective first-time homebuyers to save up to $40,000 tax-free toward buying their first home.

As with the registered retirement savings plan, or RRSP, contributions would be tax deductible and, as with the tax-free savings account, or TFSA, withdrawals would be non-taxable. The tax-free first home savings account is a new tool that will help prospective first-time homebuyers save for a down payment.

We will also enhance the first-time homebuyers' tax credit. The professional fees associated with real estate transactions are another hurdle. That is why we are proposing to double the first-time homebuyers' tax credit. The enhanced credit would provide up to $1,500.

I know my time is winding up, so I will stop there. I look forward to questions and comments from my hon. colleagues from all sides of this hon. place.

Carbon Pricing

[Terry Duguid, Liberal, Parliamentary Secretary to the Minister of Environment and Climate Change]

Mr. Speaker, on this side of the House, we are focused like a laser beam on affordability. I hope that in just a few short minutes, members opposite will vote for Bill C-32, which helps affordability.

Do members know what else helps affordability? It is the climate action rebate. It puts more money in people's pockets, and eight out of 10 families will benefit.

Do members know what they will not benefit from? The advice of the Leader of the Opposition to invest in cryptocurrency. There are a few days left in this session. I hope the hon. Leader of the Opposition has the opportunity to apologize. He should.

Taxation

[Rachel Bendayan, Liberal, Parliamentary Secretary to the Minister of Tourism and Associate Minister of Finance]

Mr. Speaker, I still do not understand how the Conservatives from Quebec can be against the actions our government is taking to deal with climate change. I understand that the Conservatives want to ignore climate change, but in an hour, we will be voting on Bill C‑32, which will lower taxes for our SMEs and our entrepreneurs.

Why do the Conservatives systematically vote against tax cuts, including tax cuts for the middle class?

Financial Institutions

[Rachel Bendayan, Liberal, Parliamentary Secretary to the Minister of Tourism and Associate Minister of Finance]

Mr. Speaker, the Conservatives have heard us explain why it was important that we were there for Canadians. If we had to do it again, we would, because Canadians needed us and we were there in their time of need.

What I do not understand is that in an hour's time, we will be voting on Bill C-32 and the Conservatives have consistently voted against the bill. The bill contains an important measure that will further lower the small business tax rate for our entrepreneurs in the country.

If the Conservatives wish to be consistent about their position, why are they voting against a tax cut for small businesses?

Opposition Motion—Carbon Tax

[Mike Morrice, Green, Kitchener Centre, ON]

Madam Speaker, the member knows through the interventions I have shared in this place that if the governing party were serious about the climate crisis, it would start by taking the Canada recovery dividend that is already in Bill C-32 and apply it to oil and gas companies.

I will move to a different topic. One thing I think we agree on is addressing affordability, particularly for those who need it the most, and that is people with disabilities across the country who are disproportionately living in poverty today. They have been calling out for an emergency response benefit to address the rising cost of living, food and day-to-day life. If all parliamentarians were serious about addressing affordability in this place, they would be directing funding to those living with disabilities.

Could the member share his level of support for addressing poverty for those living with disabilities through an emergency response benefit?

Fall Economic Statement Implementation Act, 2022

[The Deputy Speaker, Chris d'Entremont]

Pursuant to order made on Tuesday, November 15, the House will now proceed to the consideration of Bill C-32 at the third reading stage.

Post-Secondary Education

[Randy Boissonnault, Liberal, Minister of Tourism and Associate Minister of Finance]

Mr. Speaker, I thank my colleague from Dorval—Lachine—LaSalle for her question and her hard work.

With the increase in the cost of living, our government has been quick to act and provide support to Canadians who need it. We are continuing this support with our fall economic statement and Bill C‑32 by including the elimination of interest on student loans. This will help students and new graduates. We will ensure that Canadians have money in their pockets.

The Conservatives can support us here within the hour by voting in favour of Bill C‑32.

Carbon Pricing

[Terry Duguid, Liberal, Parliamentary Secretary to the Minister of Environment and Climate Change]

Mr. Speaker, all of us, on all sides of the House, are concerned about the affordability challenges of Canadian families, except on this side of the House we are doing something about it. The Conservatives can redeem themselves in just a few short minutes by voting for Bill C-32.

As the hon. member will know, as the price on pollution increases, so does the climate rebate. Unfortunately, the hon. Leader of the Opposition does not support that. He supports investing in cryptocurrency. Canadians are losing their shirts, and that is very unfortunate.

Auditor General

[Diane Lebouthillier, Liberal, Minister of National Revenue]

Mr. Speaker, the only thing this party is good for is regurgitating what their leader tells them and repeating the word “triple”.

Imagine what would happen if, instead of singing from the same hymn sheet, they took a look at real issues such as tackling global challenges, supporting Canadians, supporting families, supporting seniors and protecting the environment. Then again, in order to do that, they would have to take on some real problems, and they are not capable of doing that.

I urge them to vote for Bill C-32 this afternoon.

Finance

[Diane Lebouthillier, Liberal, Minister of National Revenue]

Mr. Speaker, I want to thank the Auditor General and her entire team for her important work and for tabling her report in the House yesterday. I want to say that I have the utmost respect for the Auditor General, her role and her independence. As we have said before, we appreciate the fact that she has confirmed that our COVID-19 benefits were effective.

We will not be distracted. Canadians have given us a mandate and we will continue to be there to support them. I urge my colleagues to do the right thing and vote in favour of Bill C-32 this afternoon.